In a statement on Thursday (12th July), the Land Transport Authority said there will be 9,225 Certificates of Entitlement (COEs) a month from August to October - up from 8,202 currently. Car buyers will have 6,912 COEs a month, or 5.7% more than now. Motorcyclists will get the biggest increase, with their quota rising 55.7% to 1,639 COEs per month.

Industry watchers expect the expanded supply to further dampen premiums, which are now at their lowest in almost 10 years for cars. In the latest bidding exercise on 4th July, the premium for cars up to 1,600cc and 130bhp fell by 26.7% to $25,000.

The COE price for cars above 1,600cc or 130bhp dropped by 8.6% to $31,000. The premium for Open COEs, which can be used for any vehicle except motorcycles, but which are used mostly for cars, fell by 9.9% to $31,001.